Dubai real estate figures: April 2023

Dubai’s real estate boom continued last month, with transactions totaling AED 26.5 billion.

Dubai’s real estate experts report that there were 8,077 property transactions in April 2023, representing a 17% increase in volume over the 6,898 transactions in April 2022.

Compared with the same month last year, the value of the transaction increased by 46%. Transaction amounts and values are at their highest for the month of April in ten years.

Property Finder data from April 2023 shows that 58.2% of those looking to buy a house were looking for an apartment, while 41.8% were interested in villas or townhouses.

The number of investors or first-time buyers looking for apartments rose over the month, from 55.8% in April 2022 to 58.2%. Two-bedroom apartments are the most sought-after type of apartment by investors, accounting for 35.2% of searches, followed by one-bedroom apartments with 31%.

3,894 off-plan property sales were recorded in April 2023, compared with 2,709 in April 2022, representing a year-on-year increase of 43.7%.

Off-plan transactions, which accounted for 30.3% of the value and 48.2% of the overall volume of sales transactions in Dubai in April, contributed significantly to the market’s upward trajectory.

Meanwhile, the value of existing property sales has risen considerably, by over 44% year-on-year, to around AED 18.5 billion from AED 12.8 billion in April 2022.

In the rental market, 78.3% of renters were looking for apartments, while 21.7% were looking for villas or houses. 34.2% of renters were looking for unfurnished apartments, while around 64.1% of those looking for apartments for a longer period preferred furnished apartments.

Some 56.8% of renters who can afford a villa or townhouse prefer unfurnished units, while 42.1% look for furnished villas or townhouses.

In April 2023, around 33.4% of renters were looking for one-bedroom apartments, followed by 30.7% who preferred two-bedroom apartments and 23.8% who preferred studios.

For villas and townhouses, 41.6% of renters gave priority to three-bedroom apartments, while 36% were looking for units with four or more bedrooms.

In April 2023, the following neighborhoods remained the most sought-after by investors for their high yields:

Dubai Marina
Downtown Dubai
Business Bay
Palm Jumeirah
Jumeirah Village Circle.

While investing in major metropolises has always been an excellent idea due to low mortgage rates, Dubai stands out for its special status. And it’s not just because of the favorable tax environment.

In fact, it’s one of the few major metropolises where new real estate is still available. Property developers are continuing to launch new real estate programs, enabling foreign investors to invest in new properties in Dubai and expect substantial rental income.

In these times of high inflation and economic uncertainty, investing in real estate in Dubai in 2023 will enable you to realize greater capital gains on your property purchase.

High rental yields can be achieved by investing in new homes that have experienced strong price increases, although investing in older homes is also an option.

The high rents commonly charged for new housing contribute to this. High-end buyers are the only ones attracted to the city.

Depending on your real estate plans, investing in apartments or villas is a viable option in this Arab emirate. As long as you can secure the right offer, the abundance of infrastructure in the city is advantageous for booming real estate values.

Just make sure you locate your position correctly to obtain the most favorable result.

Due to the ease of locating tenants and buyers, apartments offer better rental yields, while villas offer the potential for fascinating added value.

You can also invest more than once in Dubai. This allows you to reduce the costs and monthly installments of the payment plan.

If you want to invest in real estate in 2023, contact our real estate agency in Dubai. Our advisors will guide you step by step through your real estate investment project.